The Machete is a craftable bladed melee weapon that can be found by looting various locations and inventories. As of Alpha 13, it is one of the few tools available which can butcher Animal Hides and meat from dead animals. It will return all the possible resources from the butchered animal, it is however slower.
In 14.7+ and on consoles it is possible to get animal hide from the stone axe when you have the leather working perk learned.
In combat, the Machete is a slashing weapon, and strikes faster than the Hunting Knife. This, among other things, such as its maximum damage potential and ability to easily dismember zombies, makes it a valuable melee weapon for silently taking out zombies, as well as being one of the best tools for harvesting meat.
Compared to the Hunting Knife, it has less minimum damage, but strikes faster, dismembers zombies with relative ease, and has a much higher maximum damage output at higher qualities. The only downside is that it requires forged steel to craft, and isn't as common as the Hunting Knife.
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The handle of the Machete has a spiked knuckleduster guard. However, this feature is currently unused.